If Having to Negotiate Makes You Tense, Consider These Negotiating Tips
Learning from the experience of others is invaluable. Over the next few weeks, Charles Newman will take us through his hands-on experiences in negotiation. Steps to follow vary from situation to situation but several negotiating techniques overlap. We’ll learn what we can do to solve conflicts at work and we may even be able to apply these at home also.
This article is the first of nine that describe the lessons I’ve learned at the negotiating table. Some of the lessons resulted from successes and others are based on mistakes that I’ve made. In each case, however, there was a “lesson learned” that I want to share so that you can avoid some of the pitfalls I encountered along the way.
Over the years, most of the people I have worked with in North America felt uncomfortable with the process of negotiating. On the other hand, I would have to admit that, of all of the aspects of putting together a “deal”, it is the negotiating that I enjoy the most.
The first thing to remember is that while there are certain elements of each “deal” that are similar; no two deals are alike. Getting to the final agreement is a process with unlimited possibilities as there are no hard and fast rules or magic formulas that fit all deals in exactly the same way. It is not science; it’s an art. It is where creativity comes into play far more than during the analytical aspects of making a “deal.”
While I have successfully put together many deals around the world, I have learned something new from each and every one of them. Yes, I have made my share of mistakes too, but I have learned from those mistakes and put them into “lessons learned,” chalked them up to experience, and to my knowledge never made the same mistake again.
Here are some of the key “lessons learned”:
1. Everything in life is negotiable and whether you realize it or not, you are negotiating throughout each and every day.
2. If you don’t ask, you don’t get. You won’t necessarily get what you deserve in life; you only get what you negotiate.
3. Don’t ever give something away without getting something in return.
4. Do not focus on the person; focus on the “deal.” Don’t personalize the negotiating process.
5. Do not react to the other party’s offer, rephrase or restate it as a response while providing time to think.
6. For a successful outcome, both parties to the negotiation must feel satisfied. Do not hammer the other party into submission as they will spend their time and their energy getting even sometime in the future to the detriment of both parties.
7. Do not agree to something too quickly or the other party probably will feel as though they “left something on the table.”
8. For both parties to win, you need to “make the pie bigger” before you cut it in half.
9. “Information is power.” The more you have, the better the outcome. Ask open ended questions and let the other party talk.
10. Don’t play into the stereotypical North American image at the negotiating table. In other words, don’t fall into the habit of “splitting the difference” just to make the issue go away.
11. When dealing with other cultures, don’t overestimate English comprehension based on English speaking skills. Also try and understand some of the other party’s cultural and linguistic nuances.
12. Remember that negotiating can be a lot of fun, and that most people enjoy the “game” once they get into it.
Stay tuned for more insights!
About the Author: Mr. Newman has roughly 40 years of industry experience – 28 years as part of the Ford Motor Company management team, and more recently, as President and COO of the Strategic Alliances Consulting Group, Inc. His business background encompasses a broad spectrum of experience in various disciplines including purchasing, finance, product planning, export planning, business planning and international business development.
During his last 10 years at Ford Motor Company, Mr. Newman successfully negotiated 46 licensing agreements in 12 countries, 9 joint ventures in 4 countries, 6 acquisitions and 2 divestitures. As President and COO of Strategic Alliances, he continued to assist clients with their acquisition and divestiture efforts. He also developed a strategic and business planning process which was implemented successfully at many automotive supplier operations in North America and in Europe, at a charitable organization and at several small entrepreneurial business enterprises.
To read more about Mr. Newman’s business insights on business alliances, negotiation and other must have business tips, read his book, Beyond the Chicken Dance.
Article Source: EzineArticles
